US Treasury Eyes Rising Bill Demand But No Cut to Notes, Bonds

The US Treasury said it’s keeping an eye on rising demand for the shortest-dated federal securities — from both the Federal Reserve and the private sector — but still offered no tilt on Wednesday toward trimming sales of notes and bonds.

In its so-called quarterly refunding statement Wednesday, the department said it anticipated keeping auction sizes unchanged for nominal notes, bonds and floating-rate notes, “for at least the next several quarters.” US debt managers have been using that same forward guidance for two years now.